$4.5 million store and fuel station to begin construction in early spring
Borderland Co-op has announced that it will be building a Two Pump/4 Lane Gas Bar and 3,000 square foot Convenience Store on the property that it owns on the north side of Railway Avenue (the #48 Highway) in Kipling.
Borderland Co-op CEO Jason Schenn says that the idea of building a new C-Store/Gas Bar has been under consideration for some time.
“This is something that we began looking at when we were doing our evaluations of what kind of opportunities exist in our communities.
“During our discussions with the Hometown Co-op Board prior to the merger, this idea was brought forward as something that might have potential in Kipling. After the merger, when the new Board came together, we decided that this was something that we wanted to look at again.”
Schenn says that the decision to move ahead with the project grew out of Borderland’s determination to find a way to invest in Kipling that would benefit both the company and the community.
“We strongly support our Food Store in Kipling and did some renovations to that store last summer. Retail Petroleum is another area that Borderland is very strong in, and that will be the next phase of our investment in Kipling. We feel that a C-store/Gas Bar & Cardlock is something that the community will be able to utilize and support.”
He explains that construction on the new C-store/Gas Bar & Cardlock will begin as soon as possible in the spring and that components for the new facility are already on their way.
“Our goal is to have the project built and in operation as quickly as we can. We plan to begin construction as soon as the frost is out of the ground – which we anticipate will be in late April or early May. And several of the lead items and components needed are already on order – since in some areas such as retail petroleum and refrigeration a 30 to 40-week lead time is required.”
Schenn says that Borderland Co-op is taking a “cost-conscious approach” to construction on the project by doing the work of a General Contractor itself.
“Borderland has a Projects & Facilities Department. So, we will be the General Contractor on this build ourselves through that department. By taking on the construction ‘in-house’ we will remove a substantial amount of the cost involved. And we will also be hiring local trades people to work on the project wherever possible during construction.”
He goes on to say that the Town of Kipling has worked with Borderland to ensure that preliminary work on the project was completed prior to new regulations coming into effect in January 2024 – as those regulations would have significantly increased the cost of construction.
“It was great to have the Town of Kipling work with us to get our Building Permits and preliminary work done prior to the end of 2023. This month, new environmental and energy code regulations come into effect, that would have increased the cost of what is expected to be a $4.5 million project by approximately 20 per cent.
“Given that the cost of construction in smaller communities is already a substantial challenge, adding an extra 20 per cent to that cost would be disastrous for a project like this. So, we were very pleased that the Town was willing to work with us and get everything done that needed to be done before the end of 2023.”
Despite the challenges that come with building a project like this in a smaller community, Schenn says that Borderland Co-op considers the new C-Store/Gas Bar & Cardlock in Kipling to be a good investment.
“At the end of the day, decisions like this must be market-based. We must be confident that we will have enough revenue to cover the cost of construction and provide a return to our members.
“When the cost of construction becomes as high as it is, it can be difficult to move forward on projects in smaller markets like most of the communities we operate in. So, we have to work harder to find ways that we can grow and build in a community that allows us to be viable and contribute to that community.
“We’ve decided to make the investment and build our new C-Store/Gas Bar and Cardlock in Kipling, because we see it as a key community in that area and we expect that to continue.”
